Will a personally guaranteed business loan be included in bankruptcy? - Bankruptcy Law Questions and Answers- LawQA.com

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Will a personally guaranteed business loan be included in bankruptcy?

I am going to file bankruptcy for my business. I want to avoid personal bankruptcy if possible. One of the loans for the business is personally guaranteed by me. Do I also have to file personal bankruptcy?

Answer By Katie M. Stone
The Law Offices of Katie M. Stone
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If you default on a loan in your business name that you personally guaranteed, they have a legal right to attempt to collect the debt from you personally. If you file a chapter 7 bankruptcy on your business, you must stop operating. There is also a chapter 11 which is a reorganization bankruptcy for businesses in order to help you stay operating. In order to not be legally liable to pay on that loan personally you would need to file a personal bankruptcy as well. I hope you found this answer useful.

Answer Applies to: Florida
Replied: 11/6/2011

Answer By Phil Boardman
Philip R. Boardman, Attorney at Law
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If you want to discharge your personal liability on that debt, you will have to file a personal bankruptcy.

Answer Applies to: Virginia
Replied: 11/2/2011

Answer By Eric Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis
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Yes, a personal guaranty would survive a business-only bankruptcy.


Answer Applies to: Indiana
Replied: 11/2/2011

Law Office of Lynnmarie A. Johnson
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If you personally guaranteed the loan, either you have to file bankruptcy on it or make the payments.

Answer Applies to: Michigan
Replied: 11/2/2011

Answer By Darren Aronow
The Law Office of Darren Aronow, PC
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If it is personally guaranteed then you will remain personally liable if you file a business bankruptcy only.

Answer Applies to: New York
Replied: 11/2/2011

Answer By Frances Ruiz
Ruiz Law Group, P.C.
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Personal guarantees are not included in a business bankruptcy.

Answer Applies to: New York
Replied: 11/2/2011

Answer By Janice Alfred
Alfred Law Firm
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If you personally guaranteed the loan you will continue to remain personally liable for it after your business becomes insolvent or files for bankruptcy.

Answer Applies to: Georgia
Replied: 11/1/2011

Answer By Cate Eranthe
Eranthe Law Firm
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If you personally guaranteed a loan and go through a business bankruptcy, you will still be personally liable for the loan after the bankruptcy.

Answer Applies to: California
Replied: 11/1/2011

The Schreiber Law Firm
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If there is a personal guaranty, the lender has the right to pursue the guarantor if they choose. If they do, the guarantor may then have to consider personal bankruptcy.

Answer Applies to: California
Replied: 11/1/2011

Charles Schneider, P.C.
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Your guarantee can only be eliminated by a personal bankruptcy.

Answer Applies to: Michigan
Replied: 11/1/2011

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